Market Cap
AU$73.5m
Last Updated
2020/10/20 10:38 UTC
Data Sources
Company Financials +
Executive Summary
VEEM Ltd manufactures and sells propulsion and stabilization systems. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential and fair value.
Similar Companies
Share Price & News
How has VEEM's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: VEE has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
6.6%
VEE
10.6%
AU Machinery
0.5%
AU Market
1 Year Return
2.7%
VEE
-5.3%
AU Machinery
-5.6%
AU Market
Return vs Industry: VEE exceeded the Australian Machinery industry which returned -5.3% over the past year.
Return vs Market: VEE exceeded the Australian Market which returned -5.6% over the past year.
Shareholder returns
| VEE | Industry | Market | |
|---|---|---|---|
| 7 Day | 6.6% | 10.6% | 0.5% |
| 30 Day | 17.7% | 10.9% | 5.0% |
| 90 Day | 28.4% | 43.2% | 2.9% |
| 1 Year | 3.7%2.7% | -3.8%-5.3% | -2.3%-5.6% |
| 3 Year | 9.9%6.6% | -4.7%-7.2% | 12.4%-1.2% |
| 5 Year | n/a | 129.6%91.6% | 41.5%12.9% |
Price Volatility Vs. Market
How volatile is VEEM's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Can Mixed Financials Have A Negative Impact on VEEM Ltd's 's (ASX:VEE) Current Price Momentum?1 month ago | Simply Wall St
Here's Why We Don't Think VEEM's (ASX:VEE) Statutory Earnings Reflect Its Underlying Earnings Potential5 months ago | Simply Wall St
Are VEEM's (ASX:VEE) Statutory Earnings A Good Guide To Its Underlying Profitability?Valuation
Is VEEM undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: VEE (A$0.57) is trading below our estimate of fair value (A$1.89)
Significantly Below Fair Value: VEE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: VEE is poor value based on its PE Ratio (29.7x) compared to the AU Machinery industry average (21x).
PE vs Market: VEE is poor value based on its PE Ratio (29.7x) compared to the Australian market (21.4x).
Price to Earnings Growth Ratio
PEG Ratio: VEE is good value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: VEE is overvalued based on its PB Ratio (2.3x) compared to the AU Machinery industry average (1.9x).
Next Steps
Future Growth
How is VEEM forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
30.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: VEE's forecast earnings growth (30.8% per year) is above the savings rate (2.3%).
Earnings vs Market: VEE's earnings (30.8% per year) are forecast to grow faster than the Australian market (17.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: VEE's revenue (14.1% per year) is forecast to grow faster than the Australian market (4.6% per year).
High Growth Revenue: VEE's revenue (14.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: VEE's Return on Equity is forecast to be low in 3 years time (14.3%).
Next Steps
Past Performance
How has VEEM performed over the past 5 years?
-18.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VEE has a large one-off gain of A$1.6M impacting its June 30 2020 financial results.
Growing Profit Margin: VEE's current net profit margins (5.6%) are lower than last year (5.7%).
Past Earnings Growth Analysis
Earnings Trend: VEE's earnings have declined by 18.1% per year over the past 5 years.
Accelerating Growth: VEE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: VEE had negative earnings growth (-3.2%) over the past year, making it difficult to compare to the Machinery industry average (39.3%).
Return on Equity
High ROE: VEE's Return on Equity (7.6%) is considered low.
Next Steps
Financial Health
How is VEEM's financial position?
Financial Position Analysis
Short Term Liabilities: VEE's short term assets (A$23.6M) exceed its short term liabilities (A$9.6M).
Long Term Liabilities: VEE's short term assets (A$23.6M) do not cover its long term liabilities (A$23.6M).
Debt to Equity History and Analysis
Debt Level: VEE's debt to equity ratio (22.7%) is considered satisfactory.
Reducing Debt: VEE's debt to equity ratio has increased from 10.4% to 22.7% over the past 5 years.
Debt Coverage: VEE's debt is well covered by operating cash flow (80.6%).
Interest Coverage: VEE's interest payments on its debt are not well covered by EBIT (3x coverage).
Balance Sheet
Next Steps
Dividend
What is VEEM current dividend yield, its reliability and sustainability?
0.76%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: VEE's dividend (0.76%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.13%).
High Dividend: VEE's dividend (0.76%) is low compared to the top 25% of dividend payers in the Australian market (5.51%).
Stability and Growth of Payments
Stable Dividend: VEE is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.
Growing Dividend: VEE is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: VEE is not paying a notable dividend for the Australian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of VEE's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.5yrs
Average board tenure
CEO
Mark Miocevich
25.75yrs
Tenure
AU$415,331
Compensation
Mr. Mark David Miocevich, B. App.SC.(Mech Eng) FIE Aust serves as Managing Director at VEEM Ltd since 1995. Mr. Miocevich is responsible for the overall performance of VEEM and for the leadership of the ma ...
CEO Compensation Analysis
Compensation vs Market: Mark's total compensation ($USD294.31K) is about average for companies of similar size in the Australian market ($USD277.02K).
Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD & Director | 25.75yrs | AU$415.33k | 61.54% A$ 45.2m | |
| Independent Non-Executive Director | 2.5yrs | AU$60.00k | 0.046% A$ 33.9k | |
| Non-Executive Chairman | no data | AU$182.40k | no data | |
| Non-Executive Director | 4.25yrs | AU$60.00k | 0.041% A$ 30.3k | |
| Independent Non-Executive Director | 2.25yrs | AU$60.00k | 0.069% A$ 50.8k |
2.5yrs
Average Tenure
Experienced Board: VEE's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
VEEM Ltd's company bio, employee growth, exchange listings and data sources
Key Information
- Name: VEEM Ltd
- Ticker: VEE
- Exchange: ASX
- Founded: 1968
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: AU$73.450m
- Shares outstanding: 130.00m
- Website: https://www.veem.com.au
Location
- VEEM Ltd
- 22 Baile Road
- Canning Vale
- Western Australia
- 6155
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| VEE | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Oct 2016 |
| VEE | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Oct 2016 |
Biography
VEEM Ltd manufactures and sells propulsion and stabilization systems. It offers propellers, centrifugally cast hollow bars, and gyrostabilizers; and manufactures bespoke products and services to the marine ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/20 10:38 |
| End of Day Share Price | 2020/10/20 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2020/06/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.